Senegal’s new leader Faye announces audit of oil, gas, and mining sectors

Newly elected President Bassirou Diomaye Faye has announced Senegal’s plans to conduct an audit of the oil, gas, and mining sectors.

  • The audit is one of the first policy moves announced since the 44-year-old former tax inspector’s inauguration on Tuesday.
  • The president stressed the nation’s openness to investors.Faye told the nation in a televised speech on Wednesday, stressing the nation’s openness to investors.

What the president said:

“The exploitation of our natural resources, which according to the constitution belong to the people, will receive particular attention from my government,” he said.”I will proceed with the disclosure of the effective ownership of extractive companies (and) with an audit of the mining, oil, and gas sector.”

He did provide further details, but sought also to reassure investors, who he said were “welcome in Senegal.””Investor rights will always be protected, as well as the interests of the state and the people,” he said.Senegal’s first offshore oil development is due to start production in mid-2024. The Sangomar oil and gas project operated by Woodside Energy is expected to produce about 100,000 barrels per day.

The country is also gearing up to launch the $4.8 billion Grand Tortue Ahmeyim liquefied natural gas project later this year, spearheaded by BP Plc and Kosmos Energy Ltd.According to Bloomberg, the projects are expected to spur economic growth of more than 8% in 2024 and over 10% in 2025. Senegal is already one of the African countries to dominate the world’s top 10 growing economies. Senegal’s growth is expected to be fueled by increasing private and infrastructure projects.